Better Way to spend Bt1.6 bn on Pathum Thani logistics centre
Better Way (Thailand) has invested up to Bt1.6 billion |to set up a logistics centre at Pathum Thani in an attempt to serve its business expansion in the next 10 years.
The strategy is also aimed at reducing its wage cost in the near future by focusing more on machines and computer system.
The company believes that having a machine-equipped distribution centre will enable it to reduce labour cost, which accounts for 40 per cent of total |cost.
“We believe that the increase in minimum wage will be a key issue for manufacturers in the next five years,” said Danai Derojanawong, managing director of the company.
Initially, the logistics centre will directly serve the company’s distribution not only in Thailand but also its business expansion in the region under the Asean Economic Community. After that, it will consider providing service to outside customers.
Logistics experts will be hired from abroad to ensure operational efficiency, Danai said.
He said the logistics centre would be able to handle 40,000-50,000 small orders to serve its direct-selling cosmetics products. The centre will also support the company’s distribution within Asean. The company plans to triple its revenue target from Bt11.3 billion last year.
